Recently in Exports Category

UK agricultural engineering exports rose by 18.8% to £1,554m last year. Tractors accounted for £759m of this trade, an increase of 20.4% on the year, said the Agricultural Engineers Association.

The EU is by far our largest trading partner taking 62.1% of our machinery exports and 56% of tractor exports, according to the latest HMRC trade data.

The main markets for UK exports of tractors were the USA (18.1% of total), France (13.2%) and Germany (6.9%). For other agricultural machinery the major markets were Germany (13.3% of total), the Irish Republic (13.1%) and France (8.1% of the total).

Holding onto lambs for too long in pursuit of rising spring prices and extra weight could carry a greater risk than ever this season, warns EBLEX. Exchange rate volatility is likely to make export lamb buyers more cautious and more choosy, making the right weight and finish crucial for premiums.

Although export markets have a wide range of specifications, market options for lamb carcases drop markedly at weights of more than 21 kg and classifications beyond 3L for fat, says EBLEX.

Most of the weight gain in heavier lambs will be in fat, which requires more energy to put on than muscle and so increases costs as well as risk, especially when finishing margins are so tight.   

The risk of producing overfat animals is greater with lambs than in cattle or pigs, so handle at least every fortnight and then every week as they approach market quality.
Marking and then weighing representative groups every seven to 7 to 14 days provides a useful extra check on progress.

Argentina looks set to become a major force in world poultry markets, as impressive growth over the past decade is predicted to continue.

A report by Rabobank says the country’s poultry production has grown from 900,000t in 2000, to 1.5mt in 2010. Over that period it has gone from a net importer of 18,000t to a net exporter, bringing in just under US$500m last year.

The country’s low cost base and good access to feed grains and protein crops put it in a good position for future expansion, supplying both international and domestic markets, the report says.

Domestic consumption of poultry meat in Argentina is growing strongly as consumers make lifestyle and dietary changes, moving away from more expensive beef. Consumption is forecast to reach 44kg per head by 2016 - up from around 34kg last year.

Scotch whisky exports were up 22% in the first six months of this year, worth £1.8bn and accounting for about 25% of all UK food and drink exports. The USA remains the main customer, with France the second most valuable market.

However the biggest percentage increases in business came in some of the emerging markets such as Asia and South America.

In 2010 Scotch Whisky Association members, representing the vast majority of the industry, used 534,000t of malted barley and 561,000t of other cereals (largely wheat). The industry procures 90% of its malted barley from Scottish sources.

A big rise in exports saw more than 67,000t of fresh and frozen beef leave the UK in the first six months of this year.

Trade is up by almost 40% in volume and 33% by value, according to the latest HMRC figures, which also show imports are down.

Lamb exports already account for about 30% of production and rose by a further 5.8% to 41,296 tonnes in January to June this year, with the value of this trade increasing by 13%.

Beef imports to the UK fell by 2.7% and sheepmeat imports by 18%.

The first cereal shipment has left Gleadell’s refurbished and expanded export facility at Rye in East Sussex.

The MV Shetland Trader was loaded with 2000 tonnes of Cordiale milling wheat, destined for a trip round the UK shores to Scotland, giving end users there quality new crop milling wheat a month before their own new crop.

“Another plus for our end user customers is that cargoes of this size are good business as they are not tying up large amounts of cash and store space - 1,500 or 2,000 tonnes every three weeks are a better bet for them,” Gleadell trading manager Marc Rogerson said.

The port at Rye had not been used for regular grain cargoes for several years, so the recent refurbishment would give farmer customers of the firm’s southern office a useful additional outlet for grain, he added.

Oilseed rape exports are leaving the UK in an Armada of boats heading for Germany, France and Poland, among other EU destinations. Record rape yields here are helping to make up for an anticipated overall shortfall in production compared with likely demand across the EU.

Spot prices were £365 to £368/t ex farm as Farmers Weekly went to press on Wednesday (3 August). Oilseed rape oil has been trading at a significant premium to soya oil for several months and the outlook is firm, say traders. 

 

The wholesale dairy commodity market is largely maintaining its strong tone with UK butter prices reaching record levels at £3,800/tonne in June. Concerns over EU butter stocks going into the autumn, coupled with competition between export and domestic markets, saw the UK butter price increase by £350/t, or 10%, over the month.

The bulk cream price also increased in June by £100/tonne (5.9%) to £1,800/tonne, said DairyCo in its Dairy Market Update. However skimmed milk powder and Cheddar prices did not move.

While EU milk production rose by 2.8% in January to April 2011, output in New Zealand is expected to be up by 15% between January and June compared with 2010. Strong import demand from Russia and China in the first three months of this year soaked up extra production, helping to keep the market firm.

After years of negotiations, it looks like British pork products could soon be heading to China.

Attempts to open the Chinese market -estimated to be worth up to £40m a year - began in 2004, but were interrupted by the 2007 foot and mouth outbreak.

Negotiations reached a milestone last November when business secretary Vince Cable and ministers from the Chinese quarantine inspectorate signed an export health certificate agreement. Half a dozen UK plants have now been formally granted export health certificates after a recent visit to the UK by the Chinese premier.

“Pork and pork product prices are currently at record levels in China. We have a fantastic opportunity to improve returns from selling all parts of the pig,” BPEX Chairman Stewart Houston said.

China is the world’s biggest pig meat market, producing 46m tonnes a year and consuming more than that. So-called “fifth quarter” products can command a premium there, despite being of limited value in the UK.

“This is much needed as pig prices in this country still lag behind the cost of production caused by continuing high feed costs and other rising input prices,” Mr Houston said.

In a market that moves on every bit of news, the discovery of a locust problem in southern Russia might have been expected to push prices up by more than the £1.25/t rise seen by mid day Wednesday on London’s feed wheat futures market.

France and Kiev based analyst Agritel reports that more than 77,000ha (190,000 acres) have been treated with pesticides but that the Department of Agriculture considered that this measure was not sufficient.

Meanwhile the Ukrainian 2011/12 grain export forecast has been cut to between 15m and 18m tonnes, from the previous figure of 19m to 20m tonnes. The latest Russian crop forecast from Russian Grain Union sees a 2011/12 grain crop of 80 to 93m tonnes, leaving the door open for those exports but still all weather dependent.

“With the major five exporters (US, Argentina, Australia, Canada and EU) holding only 44m tonnes of wheat, or 24% of the total stock, the world needs all of the total export potential from the Former Soviet Union (26.3m tonnes), and any signs of export restrictions from this region will ignite further buying speculation,” says Gleadell managing director David Sheppard in his Cereals event market report.